As per media reports, The issue is regarding 'Salem' directed by YVS Chowdary on Lakshmi Prasanna Pictures Banner. Way back in 2010, YV Chowdary moved the court alleging Rs 48 lakh cheque issued by Mohan Babu as his remuneration bounced. While Lakshmi Prasanna Pictures was named A1, Mohan Babu is A2 in the case. Today, Erramanzil Court delivered its judgement in the favour of YVS Chowdary. A Penalty of Rs 41.75 lakh and one year jail term was awarded to Mohan Babu. In addition, A fine of Rs 10,000 was imposed on Lakshmi Prasanna Pictures. Three Months Deadline has been given to the Manchus to make the payment. Mohan Babu's Counsel moved the bail petition immediately. Manchus might challenge the verdict in the higher court.
After the news went viral, Mohan Babu took to his social media handle to convey: 'Just heard about the false news propaganda by a few TV networks. Much to their disappointment, I am at my home in Hyderabad'.
Was the Collection King referring to the cheque bounce case judgement or something else? It would have been nice had if he offered clarity rather than confusing public. May be, A press meet would be convened anytime soon.